By Sam Boughedda
BofA was left with more questions than answers following Moderna 's (NASDAQ:MRNA) Vaccines Day, BofA analysts told investors in a note Wednesday.
The analysts, who have a Neutral rating and $200 price target on Moderna, said the firm "wouldn't be surprised if shares continue to trade under pressure" following the event. "While investors were hoping for a positive efficacy outcome following the mixed immunogenicity results, following the delay, we suspect investor interest may [shift] to the updated mRNA-1010 flu vaccine, which is set to initiate a confirmatory phase 3 trial this month," they added.
They also wrote that they expect P&L uncertainty to continue to weigh on shares, even though Moderna has guided to 6 major vaccine product launches in the next few years and respiratory product sales in the range of $8B-$15B in 2027.
However, BofA and the Street "suspect this guidance may be a high bar, especially with concerns over COVID-19 revenue durability."
"Ultimately, while Moderna remains a leader in the mRNA space and has appropriately invested in its early pipeline and manufacturing capacity, P&L uncertainty has kept us somewhat cautious," the analysts concluded.